OM FINAL STUDY GUIDE - OM FINAL STUDY GUIDE QUALITY CONTROL...

OM FINAL STUDY GUIDEQUALITY CONTROL TOOLS•Statistical Process Control (SPC): used in quality management. Monitors quality DURING production or while the service is being performed. Goal – to provide timely info if current products meet specifications, detect shifts in process. Correct action can be taken (new supplier, replace parts, machine overhauled). Idea of continuous improvement. •Process Flowchart: triangle = storage. Rectangle = process. Diamond = decision point. Most often referred to as service blueprinting•Bar Chart: …I couldn’t find anything on this. I’m guessing it’s a chart with bars.•Cause & Effect Diagrams: one side cause (negative causes) other side the effects of the negative causes—problems with process control•Quality control tools used for analyzing/improving processes quality: benchmarking, service blueprint (using a flowchart for services), business process reengineering, modularization (making customized products with own parts)•Six Sigma – quantitative methodology: setting a standard in production – o3.4 defects per million…oStatistical tools that increase customer satisfaction, productivity, shareholder value.oControl, define, analyze, improve, measureo“if your goal was 99% productivity, 500 bad products per year, etc”NATURE OF SERVICES:1.Perishability- cannot be inventoried/stored/is lost forever when it is used2.Intangible-not patentable •Problem for customers because they are not able to see it, feel it, and test its performance before purchasing—must rely on reputation of service firm3.Service package-a bundle of goods and services that is provided in some environment•Supporting Facility: The physical resources that must be in place before a service can be sold. Examples are golf course, ski lift, hospital, airplane.•Facilitating Goods: The material consumed by the buyer or items provided by the consumer. Examples are food items, legal documents, golf clubs, medical history.•Information: Operations data or information that is provided by the customer to enable efficient and customized service. Examples are patient medical records, seats available on a flight, customer preferences, location of customer to dispatch a taxi.•Explicit Services: Benefits readily observable by the senses. The essential or intrinsic features. Examples are quality of meal, attitude of the waiter, on-time departure.

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•Implicit Services:Psychological benefits or extrinsic features which the consumer may sense only vaguely. Examplesare privacy of loan office, security of a well lighted parking lot.4.Back office-the service delivery activities not observable to the customer.\]5.Service Process Matrix•Describe the managerial implications of the distinctive characteristics of a service operationoCharacteristics of ServicesIntangibleCannot be inventoried/perishable

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